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California Dept. of Real Estate Function

The California Department of Real Estate (CalDRE) focuses on safeguarding and promoting the public interest in real estate matters.

The CalDRE achieves this purpose through the regulation and oversight of real estate agents’ and brokers’ licenses, registration, education, and enforcement.

The CalDRE’s Mission Statement affirms that the organization is “structured with core values that promote independence and balance between its two distinct mission responsibilities. These values preserve the integrity of operational obligations, ensure coordination and cooperation between the operating programs, engage Department stakeholders, and foster an environment that supports the professional development of its staff.”

The head of the CalDRE is the Real Estate Commissioner, who serves as the chief executive of the CalDRE and is appointed by the Governor of California. The CalDRE has locations throughout California, in Fresno, Los Angeles, Oakland, Sacramento, and San Diego.

The CalDRE regulates real estate licenses, regulating real estate education, processing exam and license applications, administering real estate licensing exams, collecting licensing fees, and protecting real estate consumers.

This includes the issuing and renewal of real estate licenses for both salespeople and brokers. In addition, the CalDRE provides resources to consumers and the general public, including online verification of a real estate license and licensee information, assistance with dispute resolution, consumer alerts, tips to prevent real estate identity theft, and information about local subdivisions. The CalDRE also reviews and investigates complaints submitted by consumers.

The CalDRE regulates timeshares in California, subject to the Vacation Ownership and Time-Share Act of 2004 (Bus. Prof. Code § 11210 et. seq.). Specifically, the CalDRE exercises oversight over all timeshare interests (both deeded property timeshare interests and points-based membership timeshare interests) sold in the state of California, as well as timeshare interests in other states that have been marketed and sold to residents of California.

This would include, for example, a timeshare purchase by a California resident in another state which was the result of a written or oral communication (such as a flyer in the mail or a phone call) encouraging that California resident to attend an out-of-state timeshare sales presentation.

The CalDRE empowers the Real Estate Commissioner “with the responsibility of assuring that purchasers of time-share interests receive everything for which they bargained.”

For instance, the CalDRE, pursuant to Business & Professions Code Section 11234, requires all timeshare developers selling in California and marketing to California residents to create a Public Report, which requires the timeshare developer to disclose certain facts and information about the particular timeshare development – such as the total number of rooms at the property or the amount of points required to book a certain destination at a given time of year – to the general public.

Timeshare developers regulated by the CalDRE must submit a copy of their Public Report for review and approval by the CalDRE. A copy of this Public Report must be provided to all timeshare buyers in California and California residents purchasing out-of-state timeshare interests prior to signing the timeshare purchase contract.

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